In November 2016, the French business climate is unchangedBusiness climate indicator and turning point indicator - November 2016

In November 2016, the business climate indicator stands at 102, as in October. Since August 2015, the composite indicator, compiled from the answers of business managers in the main sectors, has been greater than or equal to its long term mean (100). The climate has gained four points in retail trade, tree points in building construction, one point in services. It is stable in manufacturing. However, it has lost two points in wholesale trade.

Informations rapides
No 305
Paru le : 24/11/2016
Prochaine parution le : 23/05/2017 at 08:45 - May 2017

The French business climate holds steady above its long term mean

In November 2016, the business climate indicator stands at 102, as in October. Since August 2015, the composite indicator, compiled from the answers of business managers in the main sectors, has been greater than or equal to its long term mean (100). The climate has gained four points in retail trade, tree points in building construction, one point in services. It is stable in manufacturing. However, it has lost two points in wholesale trade.

Graph1 – French business climate composite indicator

Revisions

Because of late answers, the business climate indicator of October 2016 in France has been slightly raised compared to its first estimation and the rounded figure has switched to 102. In particular, the manufacturing industry index has been revised upwards by one point. The business climate indicator of September 2016 in wholesale trade has been lowered because of updated coefficients for seasonal adjustement.

Table – Business climate and turning point indicators

Business climate and turning point indicators
July 16 Aug. 16 Sept. 16 Oct. 16 Nov. 16
Composite indicators
France 102 101 101 102 102
Manufacturing 103 101 103 103 103
Building construction 95 95 96 96 99
Services 101 101 102 101 102
Retail trade 104 103 102 100 104
Wholesale trade 103 - 98 - 96
Turning point indicators
France 0.1 –0.2 0.6 0.2 0.3
Manufacturing 0.0 –0.1 0.2 0.3 0.4
Building construction 0.7 –0.4 0.2 –0.2 0.3
Services 0.2 –0.4 –0.2 –0.4 –0.2
Wholesale trade 0.3 - –0.4 - –0.1
  • Source: INSEE, Business tendency surveys

Graph2 – Turning point indicator

  • Close to +1 (resp. −1): favourable business climate (unfavourable), between +0.3 and −0.3: uncertainty area.

The turning point indicator for the French economy as a whole remains in the area showing an uncertain short-term economic outlook.

Documentation

Methodology (pdf, 125 Ko)